CHECKOUT COUNTER: Self-driving pizza delivery vehicles?
A weekly round up of the hottest international retail and consumer news.
1. Challenged growth
Campbell Soup missed fourth-quarter profit and revenue expectations. As with other packaged food companies, changing consumer preferences towards fresh food and healthier offerings has hurt its performance. The NYSE-listed company’s overall sales fell 1% in the fourth quarter ended July 30 from the same time last year.
2. Near-term dent for Amazon
Jefferies analysts said in a note that the purchase of Whole Foods will put a dent in Amazon’s earnings. The bank lowered its financial year 2017/2018 earnings per share estimates to $2.48/$7.38, from $3.68/$10.30, but raised total revenue to $177bn/$228bn, from $171bn/$213bn. They have one of the highest price targets for Amazon stock: $1,200 versus a Wall Street consensus of $1,150. They warn that macroeconomic headwinds could slow topline growth and margin expansion.
3. Delivery with a difference
Domino’s and Ford said that they are testing out self-driving cars as pizza delivery vehicles in Michigan, US. Ford Fusion Hybrid autonomous cars will be used in the test, outfitted with pizza containers designed to keep the pizzas warm en route and to unlock when a customer types in their unique delivery code. The car won’t be driving itself though — a Ford safety engineer will zero in on the last 50 feet of the customer experience.
4. New Look boss exits
Brait-owned New Look’s chief executive Anders Kristiansen has left the company. New Look’s UK & Ireland MD Danny Barrasso has been appointed as interim CEO. The fashion chain, which has produced poor results, is undergoing a turnaround.